The deal values Arinna at an enterprise value of Rs 200 crore on a cash and debt-free basis, with the purchase consideration for the stake pegged at around Rs 175.92 crore. The transaction will be executed entirely in cash and is subject to customary closing conditions and regulatory approvals.
Incorporated in 2013, Arinna operates a portfolio of over 60 brands across chronic therapies, including antiepileptics, antidepressants, antipsychotics and thymoleptics. The company has an established distribution network covering more than 4,000 prescribers across India through stockists, distributors and retail pharmacies.
Arinna reported turnover of Rs 71.5 crore in FY25, Rs 65.14 crore in FY24, and Rs 60.06 crore in FY23, indicating steady growth in its domestic formulations business.
Rubicon said the acquisition strengthens its strategy of expanding in chronic therapies, particularly the CNS segment, where it sees long-term growth potential. The company added that Arinna's distribution reach and product portfolio, along with its pipeline of specialty products and drug-device combinations, will support deeper access to patients and prescribers in India.
The acquisition is expected to be completed within one month of signing definitive agreements, or within mutually agreed timelines.
Commenting on the acquisition, Parag Sancheti, Rubicon's Chief Executive Officer said 'The past decade has demonstrated the effectiveness of Rubicon's playbook of R&D innovation, execution rigor and impeccable compliance standards which enabled us to scale our US revenues by over 32 x from FY15 to FY25 while delivering best-in-class return ratios.
Arinna now provides us a launchpad for deploying this playbook in the Indian domestic formulations market. Strategic M&A has always been integral to Rubicon's strategy and our confidence stems from having successfully integrated and scaled acquisitions to foray into new segments such as US branded specialty in 2024 and nasal products development in 2020. I am pleased to welcome Vivek and the Arinna team to the Rubicon family.'
Rubicon Research is a pharmaceutical formulations company focused on innovation-led research and development, with a growing portfolio of specialty products and drug'device combination offerings aimed at regulated markets.
The company's consolidated net profit climbed 91.2% to Rs 72.79 crore on 51.73% increase in revenue from operations to Rs 475.52 crore in Q3 FY26 over Q3 FY25.
Shares of Rubicon Research rallied 5.57% to end at Rs 870.45 on the BSE.